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Origins of Development: Social Capital, the Middle Class and Democracy

In: Institutions, Human Development and Economic Growth in Transition Economies

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  • Pasquale Tridico

    (University Roma Tre)

Abstract

In the previous chapter, we saw that there is a causality relation between institutions and growth: an appropriate institutional framework, which is able to set up particular political institutions, bringing about first an improvement in the non-income dimensions of human development (life expectancy and education levels) and then economic growth.1 These political institutions (freedom and voice and accountability) reflect the level of democracy in a country. The aim of this chapter is to trace the origin of both democracy and development. Democracy is defined using the concept of Dahl (1971) who refers to ‘contestation’ as the essential feature of democracy. Development is identified with the general progress of human beings (Ray, 1998), which can be better captured by the HDI and which does not only include income improvements.

Suggested Citation

  • Pasquale Tridico, 2011. "Origins of Development: Social Capital, the Middle Class and Democracy," Studies in Economic Transition, in: Institutions, Human Development and Economic Growth in Transition Economies, chapter 8, pages 218-253, Palgrave Macmillan.
    • Handle: RePEc:pal:stuchp:978-0-230-31388-0_9
    DOI: 10.1057/9780230313880_9
    as

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